Kota Kinabalu (Jan 23) - Renewable energy and bioeconomy company Petra Seaga is currently assessing a proposed RM1.4 billion biorefinery project in Sabah, marking a potential major investment in the state’s biomass and sustainable energy sector with long-term implications for Sabahans.
The project under consideration involves the development of an integrated biorefinery complex that would utilise agricultural and forestry biomass, including palm oil residues. The facility is intended to produce a range of value-added outputs such as sustainable aviation fuel, biofuels, biochemicals, bioplastics and renewable power generated on site.
The Sabah government, through Invest Sabah Bhd, views Petra Seaga’s interest as an indication of investor confidence in the state’s biomass resources and green economy prospects. At the same time, the state has stressed that the proposal will be evaluated strictly on its commercial viability, regulatory compliance and sustainability standards.
Unlike conventional energy developments, the proposed biorefinery follows circular economy principles, where energy, heat and by-products are reused to reduce waste and maximise efficiency. Sabah’s abundant biomass supply places it in a strong position to support such a development, reinforcing the state’s transition from a purely resource-based economy towards downstream processing, advanced manufacturing and technology-driven industries.
For Sabahans, the project could bring broader economic benefits, including new employment opportunities, skills development and higher-value industrial activities, particularly in areas linked to agriculture and forestry. If realised, the investment would support Sabah’s development agenda while strengthening the state’s role in Malaysia’s sustainable energy landscape.
